The RCPCH calls on governments, local authorities, and key anchor institutions to act to protect the most vulnerable, who have the least power and resources to control their environments. Ella Adoo Kissi-Debrah, a healthy child, developed severe asthma at 7 years old, which was worsened by breathing polluted air, especially from traffic emissions near her home in Southeast London. Her death certificate is the first in the world to list air pollution as a cause of death and her case highlights the critical need for stricter air quality measures and better education on the health impacts of air pollution.

What’s the Benefit of the Comprehensive Income Statement?

• Misuse of OCI would undermine the credibility of the profit for the year figure and key investor ratios used by stakeholders to assess an entities performance.
• Comprehensive income is the variation in the value of a company’s net assets from non-owner sources during a specific period.
• A company’s income statement details revenues and expenses, including taxes and interest.
• Her death certificate is the first in the world to list air pollution as a cause of death and her case highlights the critical need for stricter air quality measures and better education on the health impacts of air pollution.
• As we’ve seen earlier, the statement of comprehensive income is essential in running your business smoothly, monitoring your future investments, and positioning your business at a higher level to attract investors.
• Like the list above, unrealized gains and losses from cash flow hedges flow through the Statement of comprehensive income.

The earnings per share, or net earnings, and how it’s allocated across the shares outstanding are shown in the financial accounts. The bigger the earnings per share, the more profitable the company is to invest in. It not only explains the cost of sales, which is connected to the operational activities, but it also covers additional expenditures that are not related to the operational activities, such as taxes. Similarly, the income statement records various sources of money that are unrelated to a company’s primary operations. Like the list above, unrealized gains and losses from cash flow hedges flow through the Statement of comprehensive income.

• A smaller business with relatively simple operations may not have engaged in any of the transactions that normally appear on a statement of comprehensive income.
• It gives a more complete picture of the financial results by including items that are not reflected in the income statement, and helps investors and analysts assess the long-term financial prospects of the business.
• Comprehensive income doesn’t include changes caused by owners and nonowners in equity, such as purchasing treasury shares or the sale of stock.
• Not to be confused with it, accumulated other comprehensive income is stated at a point in time, and totals the unrealized gains and losses recorded in other comprehensible income.
• Air pollution is an avoidable cause of morbidity and mortality, and measures to improve air quality often have additional health and environmental co-benefits.

Related AccountingTools Courses

For example, if a company sells retail goods, any interest expense incurred is a finance cost, and is not due to being in the retail business. The statement can show the earning per share and how the net profits are distributed according to the outstanding shares. If the earnings per share are high, the higher the chances of investors investing in your business. As mentioned, the http://cats-dogs-ukraine.com/show_dog_list.php?s_event_id=8 is a combination of the income statement and the OCI. This financial document brings business events to light and can be used for numerous purposes, which we will review further in this section. Other comprehensive income or losses are vital metrics used in the evaluation of your business and profitability.

Provide Information on Company Revenue

For example, a financial analyst can use it to obtain insight on your business investments (unrealized gains or losses) that forecast your actual realized gains or losses. It also helps determine the impact of future liabilities on unrealized profits. Sometimes companies will sell or shut down certain business components or operations because the operating segment or component is no longer profitable, or they may wish to focus their resources on other business components. If the discontinued operation has not yet been sold, there must be a formal plan in place to dispose of the component within one year and to report it as a discontinued operation. Expenses from operations must be reported by their nature and, optionally, by function (IFRS). Expenses by nature relate to the type of expense or the source of expense such as salaries, insurance, advertising, travel and entertainment, supplies expense, depreciation and amortization, and utilities expense, to name a few.

• Take note of the balance sheet (i.e., the statement of financial position), which is directly related to the statement of changes.
• The cash flow statement also provides insights into how a company’s profitability, as shown on the income statement, translates into cash.
• Who knows when you’ll be seeking new investors or expanding to multiple countries.
• For instance, sales revenue increases accounts receivable if the sales are made on credit, reflecting money owed to the company.
• This extra information can provide some clues as to the financial results that a business will report at a later date, though only a portion of it.
• He has worked as an accountant and consultant for more than 25 years and has built financial models for all types of industries.

Only by recognising the effective gain or loss in OCI and allowing it to be reclassified from equity to SOPL can users to see the results of the hedging relationship. The https://everettica.org/article.php3?ind=154 is one of the main financial statements. Creditors can see how much skin investors have in the company and investors can see the potential of the company assets and future earnings and profits if these assets were actually sold and the gains were realized. For ASPE companies using a multiple-step format, the statement of income would look virtually the same as the example for Toulon above and would include all the line items up to the net income amount (highlighted in yellow).

Format for Statement of Comprehensive Income

It gives a more complete picture of the financial results by including items that are not reflected in the income statement, and helps investors and analysts assess the long-term financial prospects of the business. The interplay between deferred taxes and the income statement is also significant. Changes in deferred tax assets and liabilities are reflected in the tax expense on the income statement. For example, https://www.micq.org/page.php?id=246 an increase in a deferred tax liability will result in higher tax expense, reducing net income. This connection ensures that the income statement accurately reflects the company’s tax obligations, even if the actual cash payment of taxes is deferred to future periods. By examining deferred taxes, stakeholders can gain insights into the company’s tax strategy and its impact on long-term profitability.

A third proposition is for the OCI to adopt a broad approach, by also including transitory gains and losses. The Board would decide in each IFRS standard whether a transitory remeasurement should be subsequently recycled. This article looks at what differentiates profit or loss from other comprehensive income and where items should be presented.

Helpful articles on different dividend investing options and how to best save, invest, and spend your hard-earned money. Customized to investor preferences for risk tolerance and income vs returns mix. Someone on our team will connect you with a financial professional in our network holding the correct designation and expertise. Ask a question about your https://inet-game.ru/video/8079-season-of-the-witch-2011-readnfo-r5-line-xvid-ilg.html financial situation providing as much detail as possible. Our writing and editorial staff are a team of experts holding advanced financial designations and have written for most major financial media publications. Our work has been directly cited by organizations including Entrepreneur, Business Insider, Investopedia, Forbes, CNBC, and many others.

Tracking stock splits and dividend payments

Operating margin has varied between 18% and nearly 22% in the last three years and is expected to be between 19.5% and 20% for fiscal 2025. Cash and cash equivalents were $1.4 http://maxi-tuning.ru/test_draivy_i_obzory/a7582/ billion at June 30, 2024 compared to $1.1 billion in June 30, 2023. After a long lull in innovation, Nike is rolling up its sleeves and gearing for new product releases.

Why You Can Trust Finance Strategists

• When a stock dividend is issued, the total value of equity remains the same from the investor’s and the company’s perspectives.
• One of the reasons behind the dividend hike in 2015 could have been the approval of Lilly’s diabetes medication Trulicity, which got the nod from the Food and Drug Administration (FDA) in late 2014.
• It is usually declared by the company’s board of directors and is paid out to shareholders in the form of additional shares, rather than cash.
• All stock dividends require an accounting journal entry for the company issuing the dividend.
• When high-priced stocks like DECK split, it is usually perceived as a welcome move by investors, because of affordability and the availability of more shares for trading.

If the board of directors approves a 10% stock dividend, each stockholder will get an additional share of stock for each 10 shares held. The 2-for-1 stock split will cause the quantity of shares outstanding to double and, in the process, cause the market price to drop from $80 to $40 per share. For example, if a corporation has 100,000 https://novocherkassk.net/viewtopic.php?f=21&t=118512&start=15 shares outstanding, a 2-for-1 stock split will result in 200,000 shares outstanding. As for situations when the stock split occurs before a dividend record date, the dividend will, for the most part, be paid out for the newly created shares as well. Except that the dividend likely will be split compared to previous time periods.

Are there any risks associated with buying stocks before a split?

Both methods have different effects on a company’s overall financial position, and investors need to understand the differences between them before investing. For example, assume that a corporation has 100,000 shares of $0.50 par value common stock before a 2-for-1 stock split. At the time of the split a memo entry would be entered in the records stating that after the 2-for-1 stock split, the corporation has 200,000 shares of $0.25 par value common stock outstanding. No dollar amounts would be posted to the accounts in the general ledger. Furthermore, companies will often split their stock to create more liquidity. The higher the number of shares outstanding, the greater the liquidity, facilitating trading and narrowing the bid-and-ask spread.

Often, people use a stop order to protect against significant losses, especially in cases where they can’t, or don’t intend to, monitor the stock price regularly. Over the past 12 months, its shares have soared 58% — nearly double the gains generated from the S&P 500 and Nasdaq Composite. Given its soaring share price, some investors might think a stock split could be on the horizon.

• On its corporate website, Eli Lilly’s financial records date back to 1972.
• There is no effect on the par value per share, but with the issue of additional shares, the total number of outstanding shares increases.
• It is typically done to avoid being delisted from an exchange if the stock is nearing the minimum share price allowed on that exchange.
• The Nike Blueprint Pack, a selection of footwear equipped with Air technology will be a multi-sport wear.
• The effect of a stock split on the market value of shares is inversely proportional to the size of the split.

The company has clearly outlined its vision of not chasing numbers and seeking sustainable, healthy, profitable growth for years to come. As for returns to shareholders, buybacks are in the cards, and a dividend discussion is on with its board although Deckers has nothing concrete to announce as of now. Deckers is experiencing robust growth in DTC channels in the past years. For the recent first quarter, DTC sales increased 24% year over year to $310.6 million, while DTC comparable net sales increased 21.9%.

When a company issues additional stock shares for any reason, the result is stock dilution. More shares in circulation means a reduction in the earnings per share (EPS) of the existing shares, and in the ownership percentage held by each current shareholder. The current year’s EPS is calculated based on the number of common shares after any stock dividends and splits.

While splits often lead to a brief surge in stock price and trading volume, these effects tend to diminish over time. Any gains will likely be temporary if the underlying business fundamentals don’t support the optimism generated. Second, the higher number of shares outstanding can result in greater liquidity for the stock, which facilitates trading and may narrow the bid-ask spread. Increasing the liquidity of a stock makes trading in the stock easier for buyers and sellers. This can help companies repurchase their shares at a lower cost since their orders will have less impact for a more liquid security.

The split is usually expressed as a ratio, such as 2-for-1 or 3-for-1, which means that each existing share is divided into two or three new shares, respectively. It may seem odd that rules require different treatments for stock splits, small stock dividends, and large stock dividends. http://ankerch.crimea.ua/page/9/ There are conceptual underpinnings for these differences, but it is primarily related to bookkeeping. The total par value needs to correspond to the number of shares outstanding. Each transaction rearranges existing equity, but does not change the amount of total equity.

• It should be noted that wholesale is a larger part of the revenue mix, representing roughly 62% of the top line in the first quarter, while the rest was generated from DTC sales.
• A stock dividend is a payment made in additional shares based on the number of shares already owned, reflecting a distribution of earnings.
• 11 Financial is a registered investment adviser located in Lufkin, Texas.
• A stock split does not change the value of a stock because it does not change the fundamentals or growth prospects of the underlying company.
• The decrease in the price per share precisely offsets the increase in the number of shares.

What is your current financial priority?

• A stock split only adjusts the number of shares and the price of each share, but the post-split value of the stock holdings held by a shareholder remains the same as its pre-split value.
• It may seem odd that rules require different treatments for stock splits, small stock dividends, and large stock dividends.
• Much more than breaking news, our diverse reporting digs deeper with unparalleled insights that empower you to make better informed decisions.
• Though the split reduced the number of its shares outstanding from 29 billion to 2.9 billion shares, the market capitalization of the company stayed the same (at approximately $131 billion).
• Stock splits can be good for investors because they make a stock’s price more affordable, allowing some investors who were priced out before to buy the stock now.
• A lower-priced stock tends to attract more buyers, so current shareholders are likely to get their reward down the road.

Nonetheless,  a stock split can indicate to investors that a company is thriving, in contrast to a reverse split which often suggests a company is experiencing some turbulence. For example, let’s say a company pays a $1 quarterly dividend for each of its 10 million outstanding shares. If the company splits its stock 2-for-1, it will now have 20 million outstanding shares, each of which pay a $0.50 dividend. So if I owned 100 shares pre-split, I would receive a total of $100 as a quarterly dividend payment, the same as I would continue to receive after the split. Stock splits are generally done when the stock price of a company has risen so high that it might become an impediment to new investors. So, a split is often the result of growth or the prospects of future growth, and it could be a positive signal.

Deckers Outdoor’s Financial Health

When a stock splits, it can also result in a share price increase—even though there may be a decrease immediately after the stock split. This is because small investors may perceive the stock as more affordable and buy the stock. In common parlance, the stock dividend can take the form of a bonus issue. Basically, a bonus issue means the issue of a bonus i.e. extra shares as a reward to the existing shareholders by the company, without any extra price.

Why might a company decide to do a stock split?

After a 2-for-1 stock split, an individual investor who had owned 1,000 shares might be elated at the prospect of suddenly being the owner of 2,000 shares. However, every stockholder’s number of shares has doubled—causing the value of each share to be worth approximately half of what it was before the split. If a corporation had 100,000 shares outstanding, a stockholder who owned 1,000 shares owned 1% of the corporation (1,000 ÷ 100,000).

The stock rallied and closed at a new high of $68.55 on June 18 (roughly a week before the split). On June 26, the first day of post-split trading, the stock closed at $65.86. So, the stock traded higher after the stock split announcement and up to the implementation of the same, but is now roughly 18% off its adjusted June highs. One http://portrait-photos.org/keywords/nature?skip=195 of the key reasons for the stock cooling off is the departure of its popular CEO Brian Niccol, who played a crucial role in building the fortunes of CMG. Rather, it is the distribution of more shares of the corporation’s stock. Perhaps a corporation does not want to part with its cash, but wants to give something to its stockholders.

Disadvantages of Stock Splits

Nowadays, companies issue additional shares to their loyal stakeholders. Hence, if you hold 10 shares of the company having a face value of ₹ 100 prior to the stock split, you would hold 100 shares with a face value of ₹ 10 after the stock split. In most cases, http://ishodniki.ru/art/art_progr/net/469.html your brokerage will automatically adjust your trades to reflect the new price of a stock that has split. Still, investors should take extra care when reporting a post-split cost basis and be sure to re-submit any stop orders placed prior to the split.

What stock splits mean to your dividends

For instance, if a company has an extra 100 shares and makes a profit of $100,000, If it declares a 20% dividend, the person will receive $100 in shares instead of cash. If the issue of a stock dividend is excessive and remains unchecked, the stock price will be diluted. Keep in mind that you may not sell your stock for several years after a split, so it doesn’t hurt to do a little research and figure out if the shares were split at any point after the initial purchase. Of course, you’ll want to adjust your basis each and every time the stock was split. Fortunately for investors, many brokerages will make the necessary adjustments when calculating the cost basis for a holding. On its corporate website, Eli Lilly’s financial records date back to 1972.

• Importantly, all shareholders would have 25% more shares, so the percentage of the total outstanding stock owned by a specific shareholder is not increased.
• Every year since then, Lilly announced a hike to its dividend payment in December with an ex-dividend date slotted for mid-February.
• Receiving more of the additional shares will not result in taxable income under U.S. law.
• A reverse split reduces a company’s outstanding shares increasing per-share value.
• General Reserves comprise the share premium which the company receives from the shareholders.
• The value of the issued shares is transferred from the retained earnings account to the paid-in capital account with this entry.

Reducing the trading price into a more comfortable range will make their stock look more attractive from a per-share price and encourage investors to buy it. Stock splits don’t change anything about an underlying business or its valuation — they simply multiply the number of shares and make each share worth proportionally less. Therefore, shareholders will still receive the same total dividend payment, but it will be in the form of less money coming from each of a greater number of shares. We begin with understanding exactly what stock splits are, and how the timing of the ex-dividend date, the record date and the stock split could affect investors. Receiving more of the additional shares will not result in taxable income under U.S. law.

Negative stockholders’ equity occurs when a company’s total liabilities are more than its total assets. For example, if a company with $10 million in total assets and $15 million in total liabilities has negative stockholders’ equity, then it can be said https://x.com/BooksTimeInc that the business is insolvent with negative equity of $5 million. To avoid misunderstanding later while searching for these financial statements, the header of Statement Of Shareholder Equity should include the firm name, the title of the statement, and the accounting period.

The Effect of Treasury Shares on Stockholders’ Equity

• The shareholders’ equity can be calculated by totaling the assets and liabilities.
• It is used to account for unrealized profits and losses that are not disclosed on the income statement.
• Investors contribute their share of paid-in capital as stockholders, which is the basic source of total stockholders’ equity.
• Stockholders’ equity is a financial indicator that reflects the value of the assets and liabilities on a company’s balance sheet.
• Such a scenario may create tension with shareholders, particularly those that primarily focus on financial returns.
• The changes that are generally reflected in the equity statement include the earned profits, dividends, inflow of equity, withdrawal of equity, net loss, and so on.

If the company’s revenues surpass its expenses, it results in net profit or income. These retained earnings are then incorporated into the shareholder’s equity. Hence, the Statement of Shareholder Equity serves as a link through which the effects of income statement activities flow into the balance sheet. A statement of shareholders’ equity also can be useful for investors who want more information about a single component of the company’s ownership. Subtracting liabilities from assets can provide investors with the total amount of capital that owners have provided to a company.

How Does the Balance Sheet Show the Amount of Stockholders’ Equity?

Stockholders’ equity statements form part https://www.bookstime.com/ of the balance sheet in the financial statements. This document forms a core part of a company’s financial statements, alongside the balance sheet, income statement, and cash flow statement. Managers use these statements in unison to analyze and interpret financial results, with the aim of making informed strategic decisions. The statement of shareholders’ equity gives investors a much better understanding of how the individual equity accounts have changed during the period. Many of the other adjustments in the operating activities section of the SCF reflect the changes in the balances of the current assets and current liabilities.

• The reinvestment from the shareholders indicates their attitude towards the company, which is positive if the performance is good and as expected.
• Retained earnings are a company’s net income from operations and other business activities retained by the company as additional equity capital.
• If an organization’s return on equity is below its cost of equity, this indicates that it’s not rewarding its shareholders adequately for the risk they bear to invest their funds in the company.
• Shareholders Equity is the difference between a company’s assets and liabilities, and represents the remaining value if all assets were liquidated and outstanding debt obligations were settled.
• If shareholders’ equity is positive, that indicates the company has enough assets to cover its liabilities.

Relating Shareholders Equity to Balance Sheets and Income Statements

• Every accounting period, there are entries on the balance sheet that indicate an increase or decrease in this figure.
• “However, it is easier to invest the time in educating yourself, whether through online research, speaking with an advisor, or finding a mentor.”This is very crucial.
• The second section of the SCF reports 1) the cash outflows that were used to acquire noncurrent assets, and 2) the cash inflows received from the sale of noncurrent assets.
• In short, the asset value can be calculated by adding the firm’s equity and total debt or liabilities.
• Negative equity can arise if the company has negative retained earnings, meaning that their profits were not strong enough to cover expenses.
• It’s crucial to dig deeper and combine these insights with additional financial statement analysis for a more comprehensive picture.

Understanding and analyzing changes in shareholders equity can provide insightful information on the financial health and performance of a company. Evaluating these changes over different periods, such as annually or quarterly, may capture the definitive shifts in the company’s capital structure and overall solvency. Treasury stock is the amount of shares that the company has bought back from its shareholders. Companies usually buy back shares to reduce the number of outstanding shares and, consequently, increase earnings per share and shareholder value.

How To Calculate Stockholders’ Equity

Stockholders’ equity is also referred to as shareholders’ or owners’ equity. This financial statement of shareholders equity example document transparently provides investors with crucial information about their equity value. We have financial relationships with some companies we cover, earning commissions when readers purchase from our partners or share information about their needs. Our editorial team independently evaluates and recommends products and services based on their research and expertise. My Accounting Course  is a world-class educational resource developed by experts to simplify accounting, finance, & investment analysis topics, so students and professionals can learn and propel their careers.

11 Financial’s website is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. It also highlights how this figure can play an important role in determining whether or not a company has enough capital to meet its financial obligations. Shaun Conrad is a Certified Public Accountant and CPA exam expert with a passion for teaching.

Note that the $95,000 appears as a negative amount because the outflow of cash for capital expenditures has an unfavorable or negative effect on the corporation’s cash balance. The $15,000 is a positive amount since the money received has a favorable effect on the corporation’s cash balance. The $30,000 received from selling an investment also had a favorable effect on the corporation’s cash balance. To grasp the relationship fully, let’s start with where these statements connect.

Over time, retained earnings can become a significant portion of equity, particularly if the firm is profitable and doesn’t pay high dividends. The statement of shareholders’ equity may intimidate some small business owners because it’s a bit more complicated than other financial calculations. However, in simplest terms, it’s essentially what your organization has earned that remains in the business. The changes that are generally reflected in the equity statement include the earned profits, dividends, inflow of equity, withdrawal of equity, net loss, and so on.

Stockholders’ Equity and Paid-in Capital

As for the “Treasury Stock” line item, the roll-forward calculation consists of one single outflow – the repurchases made in the current period. Earlier, we were provided with the beginning of period balance of $500,000. But an important distinction is that the decline in equity value occurs due to the “book value of equity”, rather than the market value. Learn online from Wall Street Prep — the training firm that prepares new hires at the world’s top financial institutions. Ask a question about your financial situation providing as much detail as possible. Our goal is to deliver the most understandable and comprehensive explanations of financial topics using simple writing complemented by helpful graphics and animation videos.

The process of calculating a company’s revenue is rather straightforward. This is especially true for investors, who need to know not just a company’s revenue, but what affects it quarter to quarter. As you can imagine, companies can become almost artistic with how they handle their top line.

For example, Apple can sell a MacBook, iPhone, and iPad, each for a different price. Therefore, the net revenue formula should be calculated for each product or service, then added together to get a company’s total revenue. Revenue is recorded on a company’s financial statements when it is earned, which might not always align with when cash changes hands. For example, some companies allow customers to buy goods and services on credit, which means they will receive the goods or services now but will pay the company at a later date. Revenue is the amount of money a company receives in exchange for its goods and impaired asset definition services or conversely, what a customer pays a company for its goods or services. The revenue received by a company is usually listed on the first line of the income statement as revenue, sales, net sales, or net revenue.

Revenue is one of the many metrics investors look at when deciding whether to invest in a company. Growth stocks, for example, would be expected to rapidly grow their sales, whereas defensive income stocks would be expected to report steady revenues. For businesses in general, the goal is to grow revenues while keeping the cost of production or service as low as possible. Revenue is often used to measure the total amount of sales a company makes from its goods and services. Income is often used to incorporate expenses and report the net proceeds a company has earned. When cash payment is finally received later, there is no additional income recorded, but the cash balance goes up, and accounts receivable goes down.

What Is Accrued and Deferred Revenue?

For a retailer, this is the number of goods sold multiplied by the sales price. A company may also distinguish revenue between tangible and intangible product lines. For example, Apple may be interested in separately analyzing its physical products, such as the iPad, Apple Watch, and iPhone, and services such as Apple Music, Apple TV, or iCloud.

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For example, if they wanted to lower the cost of their merchandise so that their top-line margins would appear larger, they could lease the merchandise or offer it at a premium. Using such a method would incur a higher net revenue than if they were to simply sell the product or service at its base cost. Regardless of the method used, companies often report net revenue (which excludes things like discounts and refunds) instead of gross revenue. But income is the money you “take home” or have left over after subtracting the necessary expenses to make those products and services.

There are several components that reduce revenue reported on a company’s wheres my second stimulus check financial statements in accordance with accounting guidelines. Discounts on the price offered, allowances awarded to customers, or product returns are subtracted from the total amount collected. Note that some components (i.e. discounts) should only be subtracted if the unit price used in the earlier part of the formula is at market (not discount) price.

Access and download collection of free Templates to help power your productivity and performance. Below, we will explore what the concept of revenue means in different sectors. As you will see, it can be composed of many different things and varies widely in terms of what the most common examples are, by sector.

However, revenue refers to money earned from a variety of sources, while income is any money left over after all expenses are accounted for, including taxes and other costs. For many companies, revenues are generated from the sales of products or services. Inventors or entertainers may receive revenue from licensing, patents, or royalties. While both measures are important and that income is derived from revenue, income is generally considered more important. Strong revenues will indicate that a business can sell its product or service but strong profits will indicate a business is in good financial health. Revenue is the money a company earns from the sale of its products and services.

1. As such, it isn’t always the same—even for companies within the same industry.
2. This is specifically for the successful delivery of goods or services that haven’t yet been paid for by the customer.
3. A company may also distinguish revenue between tangible and intangible product lines.
4. Revenue can also be divided into operating revenue—sales from a company’s core business—and non-operating revenue, which is derived from secondary sources.
5. Using such a method would incur a higher net revenue than if they were to simply sell the product or service at its base cost.

Revenue vs Net Income